st K Yard Growers Corp manufactures garden tools in a factory in Taneytown, Maryland. Recently, the company designed a collection of tools for professional use rather than consumer use. Management needs to make a good decision about whether to produce this line in their existing space in Maryland, where space is available or to accept an offer from a manufacturer in Taiwan. Data conceming the decision are (Click the icon to view the data.) Read the requirements Requirement 1. Should Yard Growers Corp manufacture the 680,000 garden tools in the Maryland facility or purchase them from the supplier in Taiwan? Explain The cost of manufacturing 680,000 garden tools in the Maryland facility is 680,000 garden tools from the Taiwan supplier is and the cost of purchasing Yard Growers Corp purchase the garden tools from the Talwan supplier because it is than the relevant costs to manufacture the garden tools in Maryland SKIP REQUIREMENT 2 Requirement 3. What are some of the qualitative factors that Yard Growers Corp should consider when deciding whether to outsource the garden tools manufacturing to Taiwan? (Select four that apply.) Requirements 1. Should Yard Growers Corp manufacture the 680,000 garden tools in the Maryland facility or purchase them from the supplier in Taiwan? Explain. 2. Yard Growers Corp believes that the US dollar may weaken in the coming months against the New Taiwanese Dollar and does not want to face any currency risk. Assume that 3. Yard Growers Corp can enter into a forward contract today to purchase 20,500 NTD for $5.20. Should Yard Growers Corp manufacture the 680,000 garden tools in the Maryland facility or purchase them from the Taiwan supplier? Explain. What are some of the qualitative factors that Yard Growers Corp should consider when deciding whether to outsource the garden tools manufacturing to Taiwan? Data table - X Expected annual sales of tools (in units) 680,000 Average selling price of tools $ Price quoted by Taiwanese company, in New Taiwanese Dollars (NTD) Current exchange rate Variable manufacturing costs 20,500 Variable selling and distribution costs Incremental annual fixed manufacturing costs associated with the new product line Annual fixed selling and distribution costs 8,200 NTD = $1 $2.45 per unit 300,000 $0.55 per unit $ 315,000 *Selling and distribution costs are the same regardless of whether the tools are manufactured in Maryland or imported - X